A closer look at Short-sales/Everything you need to know...

A closer look at short-sales...Everything you need to know!

What is a short-sale?
Wikipedia:
A short sale is a sale of real estate in which the proceeds from selling the property will fall short of the balance of debts secured by liens against the property, and the property owner cannot afford to repay the liens' full amounts, and whereby the lien holders agree to release their lien on the real estate and accept less than the amount owed on the debt.^[1] Any unpaid balance owed to the creditors is known as a deficiency.^[2][3] Short sale agreements do not necessarily release borrowers from their obligations to repay any deficiencies of the loans, unless specifically agreed to between the parties. However, legislation was passed to preclude deficiencies after a short sale is approved. The same is true of lenders on first loans and lenders on second loans - once the short sale is approved, no deficiencies are permitted after the short sale.

A short sale is often used as an alternative to foreclosure because it mitigates additional fees and costs to both the creditor and borrower. While foreclosure almost always  results in a negative credit report against the property owner, short-sales under the new guidelines do not. Borrowers completing a successful short-sale may now receive up to $3000 in relocation assistance and they do not have to wait 2-3 years before purchasing another home.

How can I find out if I'm elgible to do a short-sale on my primary residence or investment property?

Guidelines for Home Affordable Foreclosure Alternatives:
www.makinghomeaffordable.gov

Getting started:
Request for Mortgage Assistance forms/ Please print


Look up your loan/click link below:

Freddie or Fannie?

 

 

 Thinking about purchasing a short-sale?
With the distressed property market being addressed more efficiently to ensure a steady track to Real Estate recovery, the fear that the word 'short-sale' used to evoke is a thing of the past.... Buyers in a short-sale transaction can now expect shorter wait times for bank approval. The bank now has 30-60 days to respond to a short-sale offer...

Buyers needing funds to make a successful short-sale purchase can turn to options like down payment assistance as provided by NCHFA... If the property is in a USDA area, buyers can get special financing, just $100 down...

Buyers needing funds for repairs of a property purchased by short-sale can look into options like 203 K loans which allow the buyer to finance up to $35K in repairs and upgrades. The 1st $5000 will be used to address any health and safety concerns, after that, the buyer can work on cosmetic items such as flooring, countertops and energy efficient upgrades and appliances. Ask your Realtor for a list of 203 K approved contractors in your area to walk you through the renovation process. Repairs are completed before occupancy... With the right help, a little motivation and research, a distressed property like a short-sale can be a potential buyers dream home.




Click the links below for the most detailed information on the new short-sale guidelines updated Feb. 2013




 Making Home Affordable/ New short-sale guidelines Feb. 2013


Standard Short-sale/HAFA II Aligned GSE (Government Sponsored Entity) policy highlights

For more information please feel free to email me: Ebonysoldit@aol.com

No Romance w/o Finance! (7) Financing options for NC [100($)100]

 Be proactive! Find out your credit score and financing options before you start house hunting.

 With closing cost in North Carolina averaging around $3,400-$4000 and downpayment cost totaling 3.5% -5%, financing can become quite a challenge. Check out these statewide programs for North Carolina and click their links to see if 1 of these options could benefit you.

(Clicke here to leave this site and securely request your report at annualcreditreport.com)

Request your free annual credit report

1. What is NCHFA?
North Carolina Housing Financing Agency...

They create affordable housing for

those North Carolinians whose needs are not met by the market...

What they offer:

Competitive interest rate mortgages

Down payment assistance up to $8,000

Mortgage credit certificate

To learn more about any of these programs, click the link to go to NCHFA.com

for more info:

NCHFA.com

2. WHS- Workforce Housing Specialist -Formerly 'Affordable Housing Specialist' 

Since  Realtors care about their communities and the lack of affordable, decent

 homes available to working families, they created the housing foundation 'Homes4NC'

the purpose of this public charity is to increase safe, decent and affordable housing

for ALL North Carolinians. Realtors like myself who have earned the esteemed

Workforce Housing Specialist designation now have a grant available for our

buyers only. This grant provides $2000 in closing cost or other related transaction

cost as long as the buyer meets certain criteria.

Click the link below to learn more about the requirements for this grant:

Guidelines and application 'Homes4NC'

3. HUD.gov
U.S. Department of Housing an Urban Development/ Government agency that oversees

home mortgage lending practices

Benefits: If a previous homeowner had an FHA loan ( a loan insured by the

government) once the homeowner defaults HUD takes ownership of the property. In

2010 the Dept. of HUD changed the way they dispose of the real estate they own. 

You can now log onto HUDhomestore.com and view a nationwide site that lists all

HUD properties available for sale.

These homes can be purchased for as little as $100 down

In the past, owner occupants or end users had a 10 day period to bid before

investors. Now they actually get a whole 30 days.

Click the link below to see a complete list of these homes and the requirements

for purchase.

Hudhomestore.com

4. USDA
United States Department of Agriculture/Rural Development

USDA offers different affordable loan programs for homes located in eligible

rural areas as defined by USDA

Buyers must also meet certain income requirements

These loans enable qualified buyers to purchase a home for $0 down, have all

closing cost financed and also have a lower mortgage payment...

To learn more about these loans, income limits or to find out if a home in a

certain area is USDA eligible, click here:

USDA home eligibility search & loan requirements

5. VA/United States Department of Veterans Affairs

The VA program helps Service members, Veterans and eligible surviving spouses

become homeowners. They provide a loan guaranty benefit and other housing

related programs to help you buy, build, repair, retain or adapt a home for your

own personal occupancy. VA guarantees a portion of the loan enabling the lender

to provide you with more favorable terms.

For more info and requirements click here...

Benefits/VA/Gov/Loans

6. Self Help Credit Union: Creating and protecting ownership and economic opportunity for all...

Self Help the non profit center for community self help combines several

organizations that together provide financing, technical support, consumer

financial services and advocacy for those under served by conventional financing

institutions...

   In some cases they only require a credit score of 580 for home purchases

For more information on loan products and terms provided by Self Help click

here:

Self-help.org/building-communities

7. Last but not least, local entities often provide their own home ownership opportunities and incentives. Organizations like City of Raleigh help low-income families by providing up to $20,000 in funds for home purchases. To find out more about specific programs tailored to your county, visit one of these HUD approved counseling agencies. Updated as of 2-14-13 Phone numbers, websites and addresses can be found here:

HUD Approved counselors and resources for North Carolina

Need questions answered about any of these programs? Feel free to email me at

 Ebonysoldit@aol.com